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Top Market Shifts Transforming the Tactical Communication Market Landscape: Key Insights
"Use code ONLINE30 to get 30% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.How Large Will the Tactical Communication Market Size By 2025?
In recent times, there has been a considerable expansion in the tactical communication market size. It is projected to escalate from $20.92 billion in 2024 to $22.75 billion in 2025, demonstrating a compound annual growth rate (CAGR) of 8.7%. The significant growth experienced in the past can be linked to the robust economic progression in climbing markets, a rise in investments, and higher spending on military equipment.
How Big Is the Tactical Communication Market Size Expected to Grow by 2029?
The market for tactical communication is predicted to experience significant expansion in the coming years, reaching $30.73 billion in 2029, with a compound annual growth rate (CAGR) of 7.8%. The projected growth during this period can be linked to enhanced government backing, swift urbanization and a rise in defence budgets. The anticipated trends within this timeframe comprise a concentration on data-sharing models to consolidate market standing, prioritizing the development of new products to boost productivity and secure a market edge, and investing in the creation of technologically superior products. Additional focus areas include enhancing high-speed communication to bolster market positioning, leveraging artificial intelligence (AI) to refine product development, introducing novel tactical radio extenders via satellite solutions to broaden the range of tactical radios, and forging partnerships and collaborations to augment their product range and extend their geographical footprint.
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Which Key Market Drivers Powering Tactical Communication Market Expansion and Growth?
The growth of the tactical communication market is likely to be fueled by increased government spending on military applications. This typically covers the procurement, research, exploration, evaluation, instruction, and testing of tactical tanks, ships, aircraft, gear, and weapons used or operated by government military forces. Tactical communications, used in military applications to relay information between commands, individuals, or positions on the battlefield, especially commands and military intelligence, are a key factor in this. As such, the growth in government investment in military applications will have a positive impact on the tactical communication market. To illustrate, the Stockholm International Peace Research Institute, an independent non-profit organization based in Sweden, reported in April 2024 that total global military spending climbed to $2443 billion in 2023, representing a 6.8% increase in real terms from 2022. Additionally, military expenditure in Russia increased by 24% to an estimated $109 billion in 2023, a rise of 57% over the previous nine years. As a result, increased government spending on military applications is projected to fuel the tactical communication market's growth moving forward.
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Which Fast-Growing Trends Are Poised to Disrupt the Tactical Communication Market?
Emerging technology is a significant trend gaining traction in the tactical communications industry. The major players in these markets are centered around crafting innovative technologies to solidify their market position. For instance, in March 2023, Thuraya, a region-based mobile and satellite service provider in the United Arab Emirates, rolled out T-TAC, a novel tactical radio extender utilizing satellite technology. Developed in conjunction with Cobham Satcom, a Denmark-based supplier of land and maritime radio and satellite communication equipment, T-TAC is a beyond line of sight (BLOS) communications solution. The system supports seamless interaction among ground, sea and air operators through a sophisticated general-purpose conversion unit that enables communication via tactical radios and push-to-talk (PTT) devices leveraging satellite technology. This portable solution, suitable for communication on the move or stationary, employs low-energy consuming technology. Thuraya terms it as an industry-pioneering tactical radio solution, demonstrating their commitment to generating pioneering technology.
What Are the Emerging Segments in the Tactical Communication Market?
The tactical communication market covered in this report is segmented -
1) By Product: Networking Radios, Multiband RadioSATCOM (Satellite Communication), Video Processors, Other Products
2) By Platform: Underwater Tactical Communication Systems, Airborne Tactical Communication Systems, Land Tactical Communication Systems, Shipborne Tactical Communication Systems
3) By Technology: Time Division Multiplexing, Next Generation Networks
4) BY Application: Integrated Strategic Resources, Communication, Combat, Command And Control, Other Applications
Subsegments:
1) By Networking Radios: Software-Defined Radios (SDRs), High-Frequency (HF) Radios, Very High-Frequency (VHF) Radios
2) By Multiband Radios: Handheld Multiband Radios, Manpack Multiband Radios
3) By SATCOM (Satellite Communication): SATCOM Terminals, SATCOM Transceivers, SATCOM Antennas
4) By Video Processors: Tactical Video Encoders, Video Compression Units, Image Processing Units
5) By Other Products: Communication Headsets, Intercom Systems, Data Link Systems
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Who Are the Global Leaders in the Tactical Communication Market?
Major companies operating in the tactical communication market include L3Harris Technologies Inc, General Dynamics Corporation, Raytheon Technologies Corporation, Thales Group, BAE Systems PLC, Leonardo SpA, Lockheed Martin Corporation, Northrop Grumman Corporation, Aselsan AS, Elbit Systems Ltd, Bharat Electronics Limited, Tata Power Strategic Engineering Division, Larsen & Toubro, Rolta India Limited, Alpha Design Technologies Pvt. Ltd, Electronics Corporation of India Limited, Data Patterns Pvt. Ltd, Huawei Technologies Co., Ltd, China Aerospace Science and Industry Corporation, ZTE Corporation, Datang Telecom Group, Electro Optic Systems, C4i Systems Pty Ltd, Codan Communications, Airbus Defense and Space, Saab AB, Rohde & Schwarz, Selex ES, Sagemcom, EIDOS, Simoco Wireless Solutions, ODU, Dat-Con, Radmor S.A., WB Electronics S.A., Racoms, Telegrafia, Ampex Data Systems, General Dynamics Mission Systems Canada, Rheinmetall Canada Inc, SigmaPoint Technologies Inc, Iridium Communications, ViaSat Inc, Cubic Corporation, C3 Shared Services, IACIT Soluções Tecnológicas S.A, Visiona Tecnologia Espacial S.A, Omnisys Engenharia Ltda, EID, Thuraya Telecommunications, Advanced Electronics Company, SRT Wireless, Bytes Systems Integration
Which are the Top Profitable Regional Markets for the Tactical Communication Industry?
North America was the largest region in the tactical communication market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the tactical communication market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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